-----------------------------------------------------------------------------------------
       log:  /.../samplcps.log
  log type:  text
 opened on:  20 Jul 2007, 14:17:58

. 
. use extract.dta

. 
. keep if yob >= 49 & annwage >0 & weeks >0
(16746 observations deleted)

. 
. replace annwage = annwage*(65.2/82.4) if year==81
annwage was long now double
(2073 real changes made)

. replace annwage = annwage*(65.2/90.9) if year==82
(2711 real changes made)

. replace annwage = annwage*(65.2/96.5) if year==83
(2683 real changes made)

. replace annwage = annwage*(65.2/99.6) if year==84
(2536 real changes made)

. replace annwage = annwage*(65.2/103.9) if year==85
(2519 real changes made)

.   
. 
. gen lnyrwage = log(annwage)
(228 missing values generated)

. gen wkwage = annwage/weeks
(228 missing values generated)

. gen lnwkwage = log(wkwage)
(228 missing values generated)

. 
. gen coarse1 = lott1 + lott2 + lott3

. gen coarse2 = lott4 + lott5 + lott6

. gen coarse3 = lott7 + lott8 + lott9

. 
. gen ceiling = coarse1+coarse2

. 
.   gen lot1b50 = coarse1*(yob<=50)

.   gen lot2b50 = coarse2*(yob<=50)

.   gen lot3b50 = coarse3*(yob<=50)

.   gen lot1b51 = coarse1*(yob==51)

.   gen lot2b51 = coarse2*(yob==51)

.   gen lot3b51 = coarse3*(yob==51)

.   gen lot1b52 = coarse1*(yob==52)

.   gen lot2b52 = coarse2*(yob==52)

.   gen lot3b52 = coarse3*(yob==52)

.   gen lot1b53 = coarse1*(yob==53)

.   gen lot2b53 = coarse2*(yob==53)

.   gen lot3b53 = coarse3*(yob==53)

.   
. 
.   local regions midatl eastnth westnth ///
> midatl eastnth westnth ///
> 

. 
. local interact lot1b50 lot2b50 lot3b50 ///
> lot1b51 lot2b51 lot3b51 ///
> lot1b52 lot2b52 lot3b52 ///
> lot1b53 lot2b53 lot3b53 ///
> 

. keep `interact' `regions' black other city balsmsa spsepres yr81-yr85 ///
>       yob45-yob53 educ veteran lnyrwage annwage lnwkwage wkwage ///
>       ceiling coarse1-coarse3 lott1-lott13 recode

. 
. /* OLS equations with covariates */       
. reg lnyrwage `regions' black other city balsmsa ///
> spsepres yr81-yr85 yob50-yob53 educ veteran

      Source |       SS       df       MS              Number of obs =   13993
-------------+------------------------------           F( 19, 13973) =   88.95
       Model |  1189.63021    19  62.6121165           Prob > F      =  0.0000
    Residual |  9835.40961 13973  .703886754           R-squared     =  0.1079
-------------+------------------------------           Adj R-squared =  0.1067
       Total |  11025.0398 13992  .787953103           Root MSE      =  .83898

------------------------------------------------------------------------------
    lnyrwage |      Coef.   Std. Err.      t    P>|t|     [95% Conf. Interval]
-------------+----------------------------------------------------------------
      midatl |   .0275584   .0230334     1.20   0.232    -.0175902     .072707
     eastnth |  -.0144612   .0215446    -0.67   0.502    -.0566915     .027769
     westnth |  -.0482445   .0243103    -1.98   0.047     -.095896    -.000593
      midatl |  (dropped)
     eastnth |  (dropped)
     westnth |  (dropped)
       black |  -.2238071   .0275174    -8.13   0.000    -.2777449   -.1698692
       other |  -.2265339   .0403764    -5.61   0.000     -.305677   -.1473907
        city |   .0771522   .0186976     4.13   0.000     .0405025     .113802
     balsmsa |    .198666   .0172787    11.50   0.000     .1647974    .2325346
    spsepres |   .3191805   .0159688    19.99   0.000     .2878795    .3504815
        yr81 |  -.0092845   .0286768    -0.32   0.746    -.0654949    .0469259
        yr82 |  -.0497941   .0272024    -1.83   0.067    -.1031144    .0035262
        yr83 |  -.0773496   .0272961    -2.83   0.005    -.1308536   -.0238455
        yr84 |  -.0234322   .0275656    -0.85   0.395    -.0774643       .0306
        yr85 |   .0115279   .0276204     0.42   0.676    -.0426117    .0656676
       yob50 |   -.058295   .0228205    -2.55   0.011    -.1030262   -.0135639
       yob51 |  -.0752842   .0226674    -3.32   0.001    -.1197153   -.0308532
       yob52 |  -.1076803    .022665    -4.75   0.000    -.1521067   -.0632538
       yob53 |  -.1385534    .022898    -6.05   0.000    -.1834365   -.0936703
        educ |   .0761437   .0025827    29.48   0.000     .0710812    .0812062
     veteran |  -.0185129   .0167248    -1.11   0.268    -.0512958      .01427
       _cons |   8.041474   .0460909   174.47   0.000      7.95113    8.131818
------------------------------------------------------------------------------

. 
. reg lnwkwage `regions' black other city balsmsa ///
> spsepres yr81-yr85 yob50-yob53 educ veteran       

      Source |       SS       df       MS              Number of obs =   13993
-------------+------------------------------           F( 19, 13973) =   76.44
       Model |  655.025656    19  34.4750345           Prob > F      =  0.0000
    Residual |  6301.68902 13973  .450990412           R-squared     =  0.0942
-------------+------------------------------           Adj R-squared =  0.0929
       Total |  6956.71468 13992  .497192301           Root MSE      =  .67156

------------------------------------------------------------------------------
    lnwkwage |      Coef.   Std. Err.      t    P>|t|     [95% Conf. Interval]
-------------+----------------------------------------------------------------
      midatl |   .0067015    .018437     0.36   0.716    -.0294375    .0428405
     eastnth |   .0133181   .0172453     0.77   0.440     -.020485    .0471212
     westnth |   -.084167   .0194591    -4.33   0.000    -.1223094   -.0460245
      midatl |  (dropped)
     eastnth |  (dropped)
     westnth |  (dropped)
       black |  -.1647209   .0220262    -7.48   0.000    -.2078952   -.1215465
       other |  -.1115195   .0323191    -3.45   0.001    -.1748694   -.0481697
        city |   .0464177   .0149664     3.10   0.002     .0170815    .0757539
     balsmsa |   .1496494   .0138307    10.82   0.000     .1225394    .1767594
    spsepres |   .2156154   .0127822    16.87   0.000     .1905606    .2406702
        yr81 |  -.0153853   .0229543    -0.67   0.503    -.0603787    .0296081
        yr82 |  -.0486149    .021774    -2.23   0.026    -.0912949   -.0059348
        yr83 |  -.0348342   .0218491    -1.59   0.111    -.0776613     .007993
        yr84 |  -.0091342   .0220647    -0.41   0.679    -.0523841    .0341156
        yr85 |   .0076092   .0221086     0.34   0.731    -.0357266    .0509451
       yob50 |  -.0416467   .0182666    -2.28   0.023    -.0774517   -.0058418
       yob51 |  -.0557056    .018144    -3.07   0.002    -.0912703   -.0201409
       yob52 |   -.073726   .0181421    -4.06   0.000     -.109287    -.038165
       yob53 |  -.0954663   .0183286    -5.21   0.000    -.1313928   -.0595397
        educ |   .0584158   .0020673    28.26   0.000     .0543635     .062468
     veteran |   .0114154   .0133873     0.85   0.394    -.0148256    .0376564
       _cons |   4.529808   .0368933   122.78   0.000     4.457492    4.602123
------------------------------------------------------------------------------

. 
. /* 2sls with 3-way instrument */
. ivreg lnyrwage (veteran = `regions' black other city ///
> balsmsa spsepres yr81-yr85 yob50-yob53 educ `interact') ///
> `regions' black other city balsmsa spsepres yr81-yr85 ///
> yob50-yob53 educ veteran

Instrumental variables (2SLS) regression

      Source |       SS       df       MS              Number of obs =   13993
-------------+------------------------------           F( 19, 13973) =   88.95
       Model |  1189.63021    19  62.6121165           Prob > F      =  0.0000
    Residual |  9835.40961 13973  .703886754           R-squared     =  0.1079
-------------+------------------------------           Adj R-squared =  0.1067
       Total |  11025.0398 13992  .787953103           Root MSE      =  .83898

------------------------------------------------------------------------------
    lnyrwage |      Coef.   Std. Err.      t    P>|t|     [95% Conf. Interval]
-------------+----------------------------------------------------------------
     veteran |  -.0185129   .0167248    -1.11   0.268    -.0512958      .01427
      midatl |   .0275584   .0230334     1.20   0.232    -.0175902     .072707
     eastnth |  -.0144612   .0215446    -0.67   0.502    -.0566915     .027769
     westnth |  -.0482445   .0243103    -1.98   0.047     -.095896    -.000593
      midatl |  (dropped)
     eastnth |  (dropped)
     westnth |  (dropped)
       black |  -.2238071   .0275174    -8.13   0.000    -.2777449   -.1698692
       other |  -.2265339   .0403764    -5.61   0.000     -.305677   -.1473907
        city |   .0771522   .0186976     4.13   0.000     .0405025     .113802
     balsmsa |    .198666   .0172787    11.50   0.000     .1647974    .2325346
    spsepres |   .3191805   .0159688    19.99   0.000     .2878795    .3504815
        yr81 |  -.0092845   .0286768    -0.32   0.746    -.0654949    .0469259
        yr82 |  -.0497941   .0272024    -1.83   0.067    -.1031144    .0035262
        yr83 |  -.0773496   .0272961    -2.83   0.005    -.1308536   -.0238455
        yr84 |  -.0234322   .0275656    -0.85   0.395    -.0774643       .0306
        yr85 |   .0115279   .0276204     0.42   0.676    -.0426117    .0656676
       yob50 |   -.058295   .0228205    -2.55   0.011    -.1030262   -.0135639
       yob51 |  -.0752842   .0226674    -3.32   0.001    -.1197153   -.0308532
       yob52 |  -.1076803    .022665    -4.75   0.000    -.1521067   -.0632538
       yob53 |  -.1385534    .022898    -6.05   0.000    -.1834365   -.0936703
        educ |   .0761437   .0025827    29.48   0.000     .0710812    .0812062
     veteran |  (dropped)
       _cons |   8.041474   .0460909   174.47   0.000      7.95113    8.131818
------------------------------------------------------------------------------
Instrumented:  veteran
Instruments:   midatl eastnth westnth midatl eastnth westnth black other
               city balsmsa spsepres yr81 yr82 yr83 yr84 yr85 yob50 yob51
               yob52 yob53 educ veteran lot1b50 lot2b50 lot3b50 lot1b51
               lot2b51 lot3b51 lot1b52 lot2b52 lot3b52 lot1b53 lot2b53
               lot3b53
------------------------------------------------------------------------------

. 
. ivreg lnwkwage (veteran = `regions' black other city ///
> balsmsa spsepres yr81-yr85 yob50-yob53 educ `interact') ///
> `regions' black other city balsmsa spsepres yr81-yr85 ///
> yob50-yob53 educ veteran

Instrumental variables (2SLS) regression

      Source |       SS       df       MS              Number of obs =   13993
-------------+------------------------------           F( 19, 13973) =   76.44
       Model |  655.025656    19  34.4750345           Prob > F      =  0.0000
    Residual |  6301.68902 13973  .450990412           R-squared     =  0.0942
-------------+------------------------------           Adj R-squared =  0.0929
       Total |  6956.71468 13992  .497192301           Root MSE      =  .67156

------------------------------------------------------------------------------
    lnwkwage |      Coef.   Std. Err.      t    P>|t|     [95% Conf. Interval]
-------------+----------------------------------------------------------------
     veteran |   .0114154   .0133873     0.85   0.394    -.0148256    .0376564
      midatl |   .0067015    .018437     0.36   0.716    -.0294375    .0428405
     eastnth |   .0133181   .0172453     0.77   0.440     -.020485    .0471212
     westnth |   -.084167   .0194591    -4.33   0.000    -.1223094   -.0460245
      midatl |  (dropped)
     eastnth |  (dropped)
     westnth |  (dropped)
       black |  -.1647209   .0220262    -7.48   0.000    -.2078952   -.1215465
       other |  -.1115195   .0323191    -3.45   0.001    -.1748694   -.0481697
        city |   .0464177   .0149664     3.10   0.002     .0170815    .0757539
     balsmsa |   .1496494   .0138307    10.82   0.000     .1225394    .1767594
    spsepres |   .2156154   .0127822    16.87   0.000     .1905606    .2406702
        yr81 |  -.0153853   .0229543    -0.67   0.503    -.0603787    .0296081
        yr82 |  -.0486149    .021774    -2.23   0.026    -.0912949   -.0059348
        yr83 |  -.0348342   .0218491    -1.59   0.111    -.0776613     .007993
        yr84 |  -.0091342   .0220647    -0.41   0.679    -.0523841    .0341156
        yr85 |   .0076092   .0221086     0.34   0.731    -.0357266    .0509451
       yob50 |  -.0416467   .0182666    -2.28   0.023    -.0774517   -.0058418
       yob51 |  -.0557056    .018144    -3.07   0.002    -.0912703   -.0201409
       yob52 |   -.073726   .0181421    -4.06   0.000     -.109287    -.038165
       yob53 |  -.0954663   .0183286    -5.21   0.000    -.1313928   -.0595397
        educ |   .0584158   .0020673    28.26   0.000     .0543635     .062468
     veteran |  (dropped)
       _cons |   4.529808   .0368933   122.78   0.000     4.457492    4.602123
------------------------------------------------------------------------------
Instrumented:  veteran
Instruments:   midatl eastnth westnth midatl eastnth westnth black other
               city balsmsa spsepres yr81 yr82 yr83 yr84 yr85 yob50 yob51
               yob52 yob53 educ veteran lot1b50 lot2b50 lot3b50 lot1b51
               lot2b51 lot3b51 lot1b52 lot2b52 lot3b52 lot1b53 lot2b53
               lot3b53
------------------------------------------------------------------------------

. 
. log close
       log:  /.../samplcps.log
  log type:  text
 closed on:  20 Jul 2007, 14:17:59
-----------------------------------------------------------------------------------------
